In terms of the approaches to exchange rate forecasting, is based on the premise that there are analyzable market trends and waves and that previous trends and waves can be used to predict future trends and waves.

The answer is technical analysis.

Explanation:

Technical analysis refers to the evaluation of a security's available data, which allows to predict future outcomes based on statistics. Some of the most common points of reference are the changes in the price of a given security, as well as its past trading activity.

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